Rightmove.co.uk has today announced its February 2014 House Price Index. In their announcement they have found that:
- The average asking price was up by 3.3% over the month from 12th January to 8th February
- Average property asking prices of property coming to the market is now £251,964
- Over the year since Feb 13 HPI this represents an increase of 6.9%
- The number of new sellers listing properties has jumped by 18% compared to a year ago.
The 18% increase in supply is helping to bring more supply to the market, being the highest supply in February for 6 years (see below graph). However this is not offsetting the number of properties that are being taken off the market and having less impact on the overall supply shortage. As a result there was a slight fall in the average stock available per branch, down from 58 properties to 57.
Agents are finding that buyers are focusing on property that can “proceed-with-speed” meaning that those parties who want to buy but have property yet to sell are losing out.
Miles Shipside, Rightmove director and housing market analyst, comments:
“The market rebound continues. While February is historically a positive month for prices of property coming to market, this is the second highest February rise since our index began in September 2001. New sellers are now asking over £16,000 more than those who came to market a year ago, a rate of increase not seen since before the credit-crunch took hold in 2008. Those contemplating trading up, down or out may well be encouraged to come to market as they see their equity grow as prices rise.”
The regional picture of asking prices shows positive increases both monthly and annually for all regions. London led the regions for the annual change with 11.2% increase, however was just pipped by the North West on the monthly figure which had a 5.3% increase, with London just behind on 5.2%.
The North (4.1%) and East Midlands (3.6%) were the next biggest winners over the month. Annually it was the South East (7.8%) and East Anglia (7.5%) which had the next highest prices increases after London.
New supply however continues to be the scarcest in the south with London (15%), the South East (13%) and the South West (10%) all below the 18% national average.